From Customer to Partner: GROHE Relies on JAGGAER for Logistics and Procurement
Vienna | Düsseldorf, 29 April 2020 – GROHE and JAGGAER have been working together since 2012. A solid partnership has developed in this time, which drives innovation to simplify the procurement processes at GROHE.
GROHE, one of the world’s leading providers of bathroom solutions and kitchen fittings, was looking for a flexible IT solution for its highly complex logistics requirements. The globally active company found what it was looking for with JAGGAER, and now handles its entire purchasing process via the IT service provider.
Since the previous IT solution was not sufficiently future-oriented and flexible to meet GROHE’s requirements, in 2012 the manufacturer of sanitary fittings started looking for a sustainable alternative. Because of its leading position in the market, from the very outset GROHE sought a partner with a high degree of innovation and found what it was looking for at JAGGAER. The IT service provider was in a position to offer GROHE a solution that can be used globally, covers all purchasing and logistics processes, and grows with the company.
Supplier portal maps complex processes, transparently
The inbound hubs were a particular challenge for the IT solution to be implemented. These are warehouses within reach of the brand’s locations, whose material requirements needed to be met at short notice. Since it is essential for suppliers to be involved as easily as possible, and for regular forecasts to be made, the process is extremely complex.
With the introduction of a customized solution for Vendor Managed Inventory (VMI), JAGGAER not only succeeded in overcoming these challenges but also made the logistics processes at GROHE significantly more transparent and efficient. Based on the current stock level and anticipated consumption, suppliers can now organize the delivery from GROHE themselves – all in real-time, and without any additional manual effort for GROHE.
Consistent further development of the solution
For GROHE and JAGGAER, the introduction of the new solution did not mean the end, but rather the beginning of the collaboration. From then on, both companies worked on the expansion and further development of the deployed systems. More than 90 percent of direct material suppliers now work with the supplier portal and use it to handle the ordering process. For GROHE this means not only a transparent process design but also the complete elimination of ordering costs. Thanks to the central and clear design, suppliers also benefit from the maximum possible capacity utilization and short response times.
With the switch to the PURE user interface, the last major innovation was implemented. However, JAGGAER and GROHE are continuing to work systematically on improvements to drive digital transformation even further and to simplify procurement processes.
GROHE is a leading global brand for complete bathroom solutions and kitchen fittings and has a total of over 6,000 employees in 150 countries – 2,600 of them are based in Germany. Since 2014 GROHE has been part of the strong brand portfolio of the Japanese manufacturer of pioneering water and housing products LIXIL. In order to offer “Pure Freude an Wasser”, every GROHE product is based on the brand values of quality, technology, design and sustainability. Renowned highlights such as GROHE Eurosmart or the GROHE thermostat series as well as groundbreaking innovations such as the GROHE Blue water system underline the brand’s profound expertise. Focused on customer needs, GROHE thus creates intelligent, life-enhancing and sustainable product solutions that offer relevant added value – and bear the “Made in Germany” seal of quality: R&D and design are firmly anchored as an integrated process in Germany. GROHE takes its corporate responsibility very seriously and focuses on a resource-saving value chain. Since April 2020, the sanitary brand has been producing CO2-neutral worldwide. GROHE has also set itself the goal of using plastic-free product packaging by 2021. In the past ten years alone, more than 460 design and innovation awards, as well as several top rankings at the German Sustainability Award, have confirmed GROHE’s success. GROHE was the first in its industry to win the CSR Award of the German Federal Government and was also featured in the renowned Fortune® magazine’s ranking of Top 50 that are “Changing the World”. www.grohe.com
About JAGGAER: Procurement Simplified
JAGGAER is the world’s largest independent spend management company, connecting customers to a network of 4 million suppliers in 70 countries, served by offices located in the Americas, APAC, Asia and EMEA. JAGGAER offers end-to-end SaaS-based procurement solutions, including: advanced Spend Analytics, Category Management, Supplier Management, Sourcing, Contracts, eProcurement, Invoicing, Supply Chain Management and Inventory Management. These all reside on a single platform, JAGGAER ONE. JAGGAER has pioneered spend solutions for more than two decades and continues to lead the innovation curve by listening to customers and stakeholders in all industry sectors, public services and academia. JAGGAER holds 37 patents – more than any other spend management company.
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